Question:The manufacturing costs of Alex Industries for the first three months ofthe year are provided below.Total Costs ProductionJanuary $566,350February 388,800March604,8004,310 units2,400 units6,400 unitsUsing the high-low method, determine:(a) the variable costs per unit and(b) the total fixed costs.(Round to nearest dollar)

The high-low method is a way to estimate the variable and fixed costs of a company by using the…

Answered: Question: The manufacturing costs of…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Sims Company began operations on January 1. Its cost and sales information for this year follow. $ 30 per unit $ 50 per unit $ 30 per unit Direct materials Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses Units produced Units sold Sales price $ 7,700,000 per year $ 11 per unit 1. Prepare an income statement for the year using variable costing. 2. Prepare an income statement for the year using absorption costing. Required 1 Required 2 $4,750,000 per year 110,000 units 80,000 units $360 per unit Complete this question by entering your answers in the tabs below. Prepare an income statement for the year using variable costing. SIMS COMPANY
Hobbs Company produces one product for which following is information is available. Product A S per unit Selling price 6.00 Direct Material 2.50 Direct Labor 1.40 Variable overhead 1.10 $ 120,000 per annum Total Fixed cost Sales units 200,000 per annum |Required: a) Calculate contribution margin per unit. b) Calculate break even point in units. c) Calculate break even point in sales value d) Calculate profit for the year based on total contribution. e) Calculate Margin of safety in units and percentage of sales.
The manufacturing costs of Calico Industries for 3 months of the year are as follows: Total Cost Production (units) April $111,100 276,200 May 82,600 163,200 June 106,300 244,600 Using the high-low method, the variable cost per unit and the total fixed costs are Round your intermediate calculations to two decimal places. a.$2.50 per unit and $4,205, respectively b.$4.50 per unit and $4,205, respectively c.$0.25 per unit and $42,050, respectively d.$0.45 per unit and $21,025, respectively
Please answer parts c, d and e
The manufacturing costs of Ackerman Industries for the first three months of the year follow: Total Costs Units Produced January $264,960 1,380 units February 392,730 2,330 March 412,160 3,680 Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost. Round all answers to the nearest whole dollar. a. Variable cost per unit $fill in the blank 1 b. Total fixed cost $fill in the blank 2
The manufacturing costs of Kellam Industries for the first three months of the year follow: Total Costs Units Produced January $318,060 2,015 units February 357,640 3,850 March 494,760 5,115 Using the high-low method, determine (a) the variable cost per unit and (b) the total fixed cost. a. Variable cost per unit $fill in the blank 1 b. Total fixed cost $fill in the blank 2
.Noriel Company has collected the following information over the last six months: Month Units Produced Cost July 10,000 P 20,000 August 12,000 20,500 September 13,000 20,600 October 14,000 21,000 November 11,000 20,050 December 18,000 21,600 Using the high-low method, what is the variable cost per unit? CHOICES a. P 1.49 b. P .20 c. P 1.20 d. P 1.59
The manufacturing cost of Mocha Industries for three months of the year are provided below: Total Cost Production April $85, 160 1,600 Units May 89,064 2,240 Units June 95, 225 3,250 Units (a) Using the high - low method, determine the variable cost per unit. Round your answers to two decimal places. $ fill in the blank 1 per unit (b) Using the high-low method, determine total fixed costs. $ fill in the blank 2
Please provide correct solution for correct answer
Subject: acounting
Sims Company began operations on January 1. Its cost and sales information for this year follow. $40 per unit $ 60 per unit $30 per unit $7,350,000 per year $ 11 per unit Direct materials Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses Units produced Units sold Sales price 1. Prepare an income statement for the year using variable costing. 2. Prepare an income statement for the year using absorption costing. Required 1 Required 2 Prepare an income statement for the year using variable costing. Sales Less: Variable expenses Variable cost of goods sold Variable selling and administrative expenses Contribution margin Less: Fixed expenses SIMS COMPANY Income Statement (Variable Costing) Fixed overhead Fixed selling and administrative expenses Income + $4,750,000 per year 105,000 units 75,000 units $360 per unit → 7,350,000✔ 4,750,000 $ 27,000,000 0 12,100,000
Zachary Company's cost and production data for two recent months included the following: Production (units) Rent Utilities March 900 $1,200 $ 800 April 1,100 $1,200 $ 978 Required a. Separately calculate the rental cost per unit and the utilities cost per unit for both March and April. b. Identify which cost is variable and which is fixed.

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